2015
DOI: 10.3386/w20890
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Can Online Learning Bend the Higher Education Cost Curve?

Abstract: We examine whether online learning technologies have led to lower prices in higher education. Using data from the Integrated Postsecondary Education Data System, we show that online education is concentrated in large for-profit chains and less-selective public institutions. Colleges with a higher share of online students charge lower tuition prices. We present evidence that real and relative prices for full-time undergraduate online education declined from 2006 to 2013. Although the pattern of results suggests… Show more

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Cited by 68 publications
(73 citation statements)
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“…6 Deming, Goldin, and Katz (2012) define a school as "online" if no more than 33 percent of its students are from a single US state. In this paper we follow Deming et al (2015) in using direct survey questions about distance education that IPEDS began asking in 2012. IPEDS data are collected at the campus level, so we can separate "University of Phoenix-Online Campus" from the other brick-and-mortar branches, for example.…”
Section: Background and Prior Researchmentioning
confidence: 99%
See 1 more Smart Citation
“…6 Deming, Goldin, and Katz (2012) define a school as "online" if no more than 33 percent of its students are from a single US state. In this paper we follow Deming et al (2015) in using direct survey questions about distance education that IPEDS began asking in 2012. IPEDS data are collected at the campus level, so we can separate "University of Phoenix-Online Campus" from the other brick-and-mortar branches, for example.…”
Section: Background and Prior Researchmentioning
confidence: 99%
“…1 For-profits also have been major contributors to the emerging market for online education and have driven a rapid increase in online enrollment (e.g., Deming et al 2015). The 23 largest for-profit institutions, owned by publicly traded companies and offering postsecondary degrees entirely online, enrolled more than 1.1 million students in 2012 and accounted for nearly 20 percent of the growth of US bachelor's degrees (BAs) from 2002 to 2012.…”
mentioning
confidence: 99%
“…One out of three students now takes at least one course online during their college career, and that share has increased threefold over the past decade (Allen and Seaman 2013). The promise of cost savings, partly through economies of scale, fuels ongoing investments in online education by both public and private institutions (Deming et al 2015). Nonselective and for-profit institutions, in particular, have aggressively used online courses.…”
mentioning
confidence: 99%
“…Research suggests that online technologies could help reduce costs over time (Deming et al, 2015). For a small educational technology organization like Siyavula, bending the cost curve is tougher than it is for higher education institutions.…”
Section: A Platform Of This Kind Requires a Lot Of Technology Investmmentioning
confidence: 99%
“…The literature reveals the need to develop a sustainable OER system, emphasizing the need for cost benefit analysis in OER projects (Annand, 2015;Hannon, Huggard, Orchard & Stone, 2014;Olcott, 2012;Deming, Goldin, Katz & Yuchtman, 2015).…”
Section: Quality and User-generated Contentmentioning
confidence: 99%